Hewlett Packard Enterprise (NYSE:HPE – Get Rating) and Climb Global Solutions (NASDAQ:CLMB – Get Rating) are both computer and technology companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, risk, analyst recommendations, valuation, institutional ownership, dividends and profitability.
Earnings & Valuation
This table compares Hewlett Packard Enterprise and Climb Global Solutions' gross revenue, earnings per share and valuation.
Get Hewlett Packard Enterprise alerts:| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Hewlett Packard Enterprise | $28.50 billion | 0.70 | $868.00 million | $0.66 | 23.73 |
| Climb Global Solutions | $282.58 million | 0.50 | $9.20 million | $2.52 | 12.58 |
Hewlett Packard Enterprise has higher revenue and earnings than Climb Global Solutions. Climb Global Solutions is trading at a lower price-to-earnings ratio than Hewlett Packard Enterprise, indicating that it is currently the more affordable of the two stocks.
Risk and Volatility
Hewlett Packard Enterprise has a beta of 1.23, suggesting that its stock price is 23% more volatile than the S&P 500. Comparatively, Climb Global Solutions has a beta of 0.8, suggesting that its stock price is 20% less volatile than the S&P 500.Analyst Ratings
This is a breakdown of recent recommendations for Hewlett Packard Enterprise and Climb Global Solutions, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Hewlett Packard Enterprise | 2 | 4 | 6 | 0 | 2.33 |
| Climb Global Solutions | 0 | 0 | 0 | 0 | N/A |
Hewlett Packard Enterprise presently has a consensus price target of $17.00, suggesting a potential upside of 8.56%. Given Hewlett Packard Enterprise's higher possible upside, equities analysts plainly believe Hewlett Packard Enterprise is more favorable than Climb Global Solutions.
Profitability
This table compares Hewlett Packard Enterprise and Climb Global Solutions' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Hewlett Packard Enterprise | 3.05% | 4.26% | 1.52% |
| Climb Global Solutions | 3.84% | 21.57% | 6.09% |
Insider and Institutional Ownership
82.1% of Hewlett Packard Enterprise shares are held by institutional investors. Comparatively, 42.9% of Climb Global Solutions shares are held by institutional investors. 0.5% of Hewlett Packard Enterprise shares are held by company insiders. Comparatively, 8.4% of Climb Global Solutions shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Dividends
Hewlett Packard Enterprise pays an annual dividend of $0.48 per share and has a dividend yield of 3.1%. Climb Global Solutions pays an annual dividend of $0.68 per share and has a dividend yield of 2.1%. Hewlett Packard Enterprise pays out 72.7% of its earnings in the form of a dividend. Climb Global Solutions pays out 27.0% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.
Summary
Hewlett Packard Enterprise beats Climb Global Solutions on 9 of the 15 factors compared between the two stocks.
About Hewlett Packard Enterprise
(Get Rating)
Hewlett Packard Enterprise Company provides solutions that allow customers to capture, analyze, and act upon data seamlessly in the Americas, Europe, the Middle East, Africa, the Asia Pacific, and Japan. The company offers general purpose servers for multi-workload computing and workload-optimized servers; HPE ProLiant rack and tower servers; HPE BladeSystem and HPE Synergy; and solutions for secondary workloads and traditional tape, storage networking, and disk products, such as HPE Modular Storage Arrays and HPE XP. It also offers HPE Apollo and Cray products; and HPE Superdome Flex, HPE Nonstop, HPE Integrity, and HPE Edgeline products. In addition, the company provides HPE Aruba product portfolio that includes wired and wireless local area network hardware products, such as Wi-Fi access points, switches, routers, and sensors; HPE Aruba software and services comprising cloud-based management, network management, network access control, analytics and assurance, and location; and professional and support services, as well as as-a-service and consumption models for the intelligent edge portfolio of products. Further, it offers various leasing, financing, IT consumption, and utility programs and asset management services for customers to facilitate technology deployment models and the acquisition of complete IT solutions, including hardware, software, and services from Hewlett Packard Enterprise and others. Additionally, the company invests in communications and media solutions. It has a partnership with Striim, Inc. to offer high performance and mission-critical solutions with real-time analytics. It serves commercial and large enterprise groups, such as business and public sector enterprises; and through various partners comprising resellers, distribution partners, original equipment manufacturers, independent software vendors, systems integrators, and advisory firms. Hewlett Packard Enterprise Company was founded in 1939 and is headquartered in Houston, Texas.
About Climb Global Solutions
(Get Rating)
Climb Global Solutions Inc. operates as a value-added information technology (IT) distribution and solutions company in the United States, Canada, Europe, the United Kingdom, and internationally. It operates in two segments, Distribution and Solutions. The company distributes technical software and hardware to corporate and value added resellers, consultants, and systems integrators under the names Climb Channel Solutions and Sigma Software Distribution; and software, hardware, and services under the names TechXtend and Grey Matter. It also resells computer software and hardware developed by others, as well as provides technical services to end user customers. In addition, the company offers a line of products from various software vendors; and tools for virtualization/cloud computing, security, networking, storage and infrastructure management, application lifecycle management, and other technically sophisticated domains, as well as computer hardware. Climb Global Solutions Inc. markets its products through its own web sites, local and on-line seminars, events, webinars, and social media, as well as direct email and printed materials. It provides IT distribution and solutions for companies in the security, data management, cloud, connectivity, storage and HCI, virtualization, and software and ALM industries. The company was formerly known as Wayside Technology Group, Inc. and changed its name to Climb Global Solutions Inc. in October 2022. Climb Global Solutions Inc. was incorporated in 1982 and is headquartered in Eatontown, New Jersey.
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